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TikTok denies launching Project S in Indonesia
TikTok Indonesia says it has no intention to roll out its Project S service, which some see as a threat to local small businesses, in Indonesia.
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FILE PHOTO: A smartphone with a displayed TikTok logo is placed on a computer motherboard in this illustration taken Feb. 23, 2023. (Reuters/DADO RUVIC)
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ollowing a meeting with the Cooperatives and Small and Medium Enterprises (SMEs) Ministry, TikTok Indonesia says it has no intention to roll out its Project S in Indonesia.
The statement comes after concerns emerged that the initiative posed a threat to micro, small and medium enterprises (MSMEs) in the country.
Project S refers to an initiative by TikTok to sift through user data in order to identify well-selling products in a country and then capture that demand with products sold by the platform itself.
Anggini Setiawan, TikTok Indonesia's head of communications, said the ministry had granted her company the opportunity to explain Project S further on July 26.
"We have briefed the ministry, and we would like to set the record straight on the misinformation concerning TikTok Shop in the media and online. It is not true that we will launch a cross-border initiative in Indonesia,” Anggini told reporters on Wednesday.
“We do not intend to create our e-commerce products or become a wholesaler that will compete with Indonesian sellers.”
Anggini added that, throughout the last two years of TikTok Shop in Indonesia, it had always been supportive of Indonesia’s MSMEs.
